Q: I recently received the proceeds from an insurance policy – which entity should I use to hold the money: an LLC, estate account, or my personal account?
A: As is often the case, the answer here is “it depends.” It is most dependent on your wealth strategy, which you can formulate by leveraging the Wealth.GPS system to analyze, model and adjust your financial data.
Q: Will my life insurance be subject to estate taxes?
A: It depends – if you name your living trust as your beneficiary, then yes, they could be. Then of course, the size of your estate will come into play as to whether they actually will be taxed. Given this, you want to undergo proper planning to avoid having the insurance benefits taxed.
Welcome to Life Insurance Explained, where I'll talk to you about insurance facts and provide an insurance 101 overview of the various types of life insurance you can buy, depending on your financial situation.
Some topics covered in this video:
- whole life insurance explained
- term life insurance explained
- universal life insurance explained
- variable universal life explained